What are some other roles in venture capital firms besides associate, principal, and partner? As is true with most business, there are many roles that make up the team. Usually an entire staff supports the daily operations. A venture capital firm needs accountants, human resource personnel, and information technology managers. This support team has regular contact with the venture capital partners and the managers of the portfolio companies.
Entrepreneur-in-residence (EIR) is another role that some may overlook. An EIR is a specialist who is well-respected in their industry, has a broad portfolio that documents their expertise, and has the confidence of the venture capital partners. This job is held by an executive or entrepreneur who is between projects. It is a very unique position that fills a specific purpose at the firm. An EIR is not a partner and does not look for new investments. They are contractors who work on a temporary basis as advisers.
The main concept behind an EIR is that the venture capital firm wants a first look at whatever project the EIR works on next. What if you could find the next great company before it even exists? The idea here is that they found a great entrepreneur, and great companies come from great management. By working with an EIR, a venture capital firm is one step ahead of the competition.
What kind of compensation does an EIR receive? The New York Times says a 6-month gig pays $90,000. Michael Wolfe, EIR at Benchmark Capital, said $120,000 to $150,000. Some may even receive $300,000. An EIR is the best in their field, and their compensation reflects that.
The various jobs at venture capital firms show the wide variety of opportunities available for persistent job hunters. You can be an associate on track to becoming a general partner, or you can play a critical role in the support staff in accounting, human resources, or technology. If you are an experienced entrepreneur or expert, you can be an entrepreneur-in-residence. There is no one-size-fits-all job in venture capital. The successful job hunter will know exactly how their specialized skills can help the venture capital firm.
How will you contribute to the bottom line?
